The Reserve Bank played it safe and kept interest rates unchanged even as it cut growth forecasts for the next three years and said risks to the inflation outlook had abated. A day before Moody’s Investors Service, the last major agency with an investment-grade rating on the country, is due to announce its latest review, governor Lesetja Kganyago and the rest of the five-member monetary policy committee (MPC) unanimously decided to keep the repo rate unchanged at 6.75% on Thursday. While the decision was predicted by all 18 economists surveyed by Bloomberg, some analysts had argued that the Bank’s decision to increase the rate in November 2018, by 25 basis points had been a policy error and should be reversed. PODCAST: Listen to more commentary on the topic. Subscribe: | Spotify | Apple Podcasts | Pocket Casts | A downgrade could potentially spark outflows from the country’s bond markets as SA gets kicked out of major indices and spark a run on the currency that co...

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